President William Ruto has reportedly cleared a Ksh 72 billion loan that was extended to Kenya by China after the alleged receipt of a demand letter.
This development comes in response to claims made by Narok Senator, who stated that the country was at risk of failing to meet its international obligations concerning the Ksh 72 billion.
“$450,000,000 (Ksh 72Billion) Chinese loan for the SGR and Northern and Southern Bypass must be paid tomorrow. The Chinese have sent a demand note! My friend Mr. Kiptoo do we have money or are going to default again?” asked Ledama.
I have just spoken to my friend @Kiptoock PS National Treasury and he has confirmed to me that he managed to pay the Ksh 72,000,000,000 (billion) demanded by the Chinese Government for the SGR, Northern and Southern bypass loan👏 👏 👏 but he did not tell me where he got the…
— Sen. Ledama Olekina (@ledamalekina) January 21, 2024Did you read this?
In statements on Saturday, Treasury Principal Secretary Chris Kiptoo affirmed that the loan utilized for the construction of the Standard Gauge Railway (SGR) has been fully repaid, and the same will be done for other loans as they become due.
“We already settled this debt as we shall do for many others as and when they fall due,” said Kiptoo
The Principal Secretary continued to reassure Kenyans that, under the leadership of President William Ruto, the country will fulfill its obligations and will not default on any loan payments.
“Meanwhile, we need to up the conversation on balancing revenue enhancement measures, debt management, and expenditure rationalization,” he said
The news is one of many circulating around the Kenya Kwanza government, which has faced accusations of delays or potential failure to make payments, despite assurances by the President that the country is on the right path.
